The arrival of the North East Monsoon with heavy rainfall has affected natural rubber production in several agricultural belts of the central Travancore region. The farming community stated that early morning showers have disturbed tapping in rain-guarded trees and the fall of leaves, affecting the field. They cite that the decreasing production has not benefited the prices.
What did the President of Indian Rubber Dealers Federation say about natural rubber production?
George Valy, President of the Indian Rubber Dealers Federation, has asserted that when prices are ruling lower, the consuming industry is not offering better prices to procure natural rubber from the domestic market. Prices are not going up during the reduction period, which has sparked concern among the farming community, leading them to think of keeping away from tapping unless they realise a better price for their produce. He noted that the consuming industry is going further to import natural rubber, where the prices are lower in comparison to domestic rates. Notably, the imports saw a 35 % rise in September with 95000 tonnes, carrying both natural rubber and compounded rubber.
The reasons behind the drop in domestic natural rubber prices
According to official sources, the reasons behind the drop in domestic natural rubber prices to the unprecedented scale of import of compounded rubber. The compounded rubber import has increased to 1,01, 253 tonnes during the corresponding period of 2025-26, whereas its duty of concessional rates from ASEAN countries is 0-5%. In addition, natural rubber imports are on the increase during the months from June to September with the figures stands at 36505, 42482, 54278 and 68632 tonnes, resulting in procurement lower levels form domestic market.